Income Protection: The Most Overlooked Safety Net for Business Owners
Running your own business means you carry the risk and the reward. You make the decisions, you drive growth, you solve the problems. But there’s a question many SME owners and professionals quietly avoid: what happens if you suddenly can’t work because of illness or injury?
At Blue Chair Financial, we see it all the time, business owners who have taken the time to protect their company with insurance, who have insured their assets, and who’ve built safety nets for their employees. Yet, they’ve overlooked the most valuable asset in the entire business: themselves.
Why Income Protection Matters
If you’re self-employed or a director, your business likely relies on you. Without your presence, sales may slow down, clients may drift, and delivery can be disrupted. Unlike larger corporates, there’s usually no buffer or redundancy in the system.
And while statutory sick pay exists, it’s limited, short-term, and often not enough to cover even the basics. Mortgages, school fees, and day-to-day living costs don’t stop just because you’re not able to work.
That’s where income protection comes in.
What Income Protection Provides
An income protection policy ensures that, if you are unable to work due to illness or injury, you receive a monthly replacement income until you recover or reach retirement age. This means:
Security for your family – essential bills continue to be paid.
Stability for your lifestyle – you don’t have to make drastic changes overnight.
Freedom to focus on recovery – instead of rushing back to work out of financial necessity.
For SME owners, this is not just a personal safety net, but also a business continuity measure. It allows you to step back temporarily while ensuring your family and financial commitments remain covered.
Common Misconceptions
We often hear: “I’ve got savings, that’ll cover me.” The reality is that even strong savings can run out quickly. Consider if you had to stop working for 12 months, 24 months, or more. Savings are finite. Income protection is designed to last.
Another misconception is: “I already have cover through work.” For some directors or employees, group cover may exist, but it’s often capped, time-limited, and ends if you change jobs. It’s worth checking if what you have is sufficient.
Why Business Owners Should Pay Extra Attention
As a director, you may be entitled to take out income protection through your company, making it a tax-efficient solution. This is where good advice really counts, structuring policies so they’re cost-effective, compliant, and aligned with your business setup.
Take the First Step
If you’re a business owner or professional who hasn’t reviewed your protection recently, income protection could be the most important financial decision you make this year.
We offer a free 30-minute consultation to help you understand where you stand and what options are available. No pressure, no jargon, just clarity.
Message us here or visit www.bluechairfinancial.ie to book your review.
Because life doesn’t stand still, and your protection shouldn’t either.
